Consumer confidence among British consumers fell to its lowest level in a year in the run up to Christmas, according to figures published today. UK confidence fell six points in December to minus four, its lowest level since October 2001, the survey by Martin Hamblin GfK - entitled "Consumer Gloom as Christmas Looms" - said. Earlier today, financial research group NTC said that its leading indicator of overall economic activity fell in November to reach 100.81 from 101.15 the previous month. NTC said the figure points to slower growth in 2003 after peaking in the last quarter of this year.
The weaker readings have taken sterling down marginally from this morning's high. At 1315, sterling was trading at USD1.5957, from USD1.6055 earlier, while the euro was valued at USD1.0262, from USD1.0310. However, the tide remained against the dollar as the market reacts to the US/Iraq tension and the strike in Venezuela, which is boosting oil prices. "The dollar is proving to be the fall guy in the run up to Christmas and Year End with selling pressures building across the board," said Niall Dunne, economist at Ulster Bank. //www.fxcentre.com